Drivers of entrepreneurship and post-entry performance of newborn firms in developing countries

The aim of this paper is to provide an updated survey of the “state of the art” in entrepreneurial\r\nstudies with a particular focus on developing countries (DCs). In particular, the\r\nconcept of “entrepreneurship” is critically discussed, followed by a discussion of the institutional,\r\nmacroeconomic, and microeconomic conditions that affect the entry of new firms\r\nand the post-entry performance of newborn firms. The reviewed literature bears some\r\npolicy implications for the support of the creation new firms, such as the targeting of\r\npolicy measures to prospective entrepreneurs who possess high education levels, long previous\r\njob experience, and innovative skills. Specifically, for DCs, tailored subsidies and\r\nsupport should be coupled with framework and infrastructural policies that are able to\r\nimprove the business environment such that new ventures can start and grow